Orleans Homebuilders Inc. has hired BMO Capital Markets Corp. and Lieutenant Island Partners LLC to help with its potential sale or recapitalization. Orleans Homebuilders also reached a deal to extend and modify a $375 million credit loan agreement. It expects formal documentations before Jan. 29. Some lenders agreed in principle on a limited waiver and temporary amendment for the facility. This allows the Bensalem, Pa.-based company to borrow under the facility until Jan. 29 and extends letters of credit until Feb. 26. The builder of single-family homes, townhouses and condominiums would not have had sufficient funds to continue normal operations if it didn’t sign the temporary amendment by Dec. 20.
Integra Bank Corp. (Nasdaq: IBNK) is working to conserve liquidity and strengthen its cash position through efforts such as the suspension of dividends. The Evansville, Ind.-based company also cut its size through branch and loan sales. The parent of Integra Bank NA has not ruled out any strategic alternatives. It is working with advisers on a strategy that would meet applicable and expected regulatory requirements. Integra Bank is struggling with capital market conditions and problems in commercial real estate. As of Sept. 30, 2009, it had $3.3 billion in total assets and operated 69 branches and 116 ATMs in Indiana, Kentucky, Illinois and Ohio.
C.A. Bancorp Inc.’s board of directors has formed a special committee to consider business options after receiving an unsolicited C$32.6 million offer from Maxam Opportunities Fund LP and Maxam Opportunities Fund (International) LP to purchase the Canadian merchant bank and alternative asset manager. The bid expires Jan. 12, 2010, unless withdrawn or extended. The special committee will review the proposal, along with other alternatives. Business options under review include the continued execution of the current business plan, a merger transaction or the sale or spin-out of certain assets. C.A. Bancorp hired CIBC World Markets Inc. as financial adviser. It also adopted a shareholder rights plan.
Watson Wyatt Worldwide Inc. received conditional antitrust approval to proceed with its proposed merger with fellow consulting firm Towers Perrin Forster & Crosby Inc. of Stamford, Conn. The European Commission decided to allow the combination if Arlington, Va.-based Watson Wyatt sells its VIPitech life insurance actuarial software business. As part of the ruling, the commission may allow the merged company to retain a license to use the VIPitech software. Watson Wyatt is preparing the business for sale. The proposed merger will be effective on Jan. 10 if the requisite shareholder approvals are obtained and if other closing conditions are completed.